Threads Showed Signs of Unraveling. Will New Updates Save it?
Key Takeaways
- Threads rolled out some updates requested by users
- These changes come after a decline in usage
- Meta’s “Twitter killer” still shows promise
“Ask and you shall receive,” is what Mark Zuckerberg said to Threads users this week when the app launched a new “following” tab.
The tab allows users to see chronological posts from people they actually follow instead of the algorthimically-generated “For you” feed. This more personalized experience on the app was something users started asking for as soon as Threads launched.
This change comes after The Wall Street Journal reported the number of daily active users on Threads dropped by 70% from its July 7th peak. Will this update save the “Twitter killer,” or was Meta’s latest endeavor just a misfire? We’ll explore that below.
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Why is the Threads update a big deal?
In Threads, your feed screen now includes both the “For You” and “Following” tabs, so you can switch back and forth between the two.
Although that’s the biggest change, other improvements on Threads include the ability to translate posts into other languages, easier-to-use “follow” buttons, and more granular notification filters on the “Activity” screen.
Users are still waiting on additional promised features, like hashtags and a way to search for posts.
The “Following” tab is a big deal because its absence has been a chief complaint since launch. It will likely deliver a sense of relevancy to the user experience that was missing before, which could translate to more time spent on the app.
So is Threads winning or losing?
It’s still too early to tell. Threads made a huge splash when it launched, and even though the drop in active users made headlines, the app has consistently hit more than 1 million new downloads daily, including 1.06 million on July 20.
Social media apps are typically iterative, and it takes time for online platforms and communities to form.
For now, investors aren’t seeing much immediate upside for Meta as Threads gains traction, but looking ahead, Bank of America analysts project that Threads could add $2–3 billion to Meta’s revenue next year.
The bottom line
Threads didn’t become the one platform to rule them all overnight, but that doesn’t mean it’s a bad bet longer-term. Let’s give it some time.
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